February 3, 2016

Mushrif Trading and Contracting Company (MTCC), a leading civil construction firm, said it has been awarded a KD14 million ($46 million) contract for road works aimed at improving traffic flow at Al Bidda Roundabout in the Kuwait City.

The MTCC contract signed by Ministry of Public Works is one of several projects in its pipeline to upgrade and improve the country's road network. It is expected to be completed in the next two years.

Located on the city's eastern coastline where Al Blajat Street meets Al Ta'awon Street and the Fifth Ring Road, Al Bidda Roundabout is a busy junction that often suffers from a slowdown in the flow of traffic.

Given existent construction in the area surrounding Al Bidda Roundabout, no changes will be made to its current size and shape, said a statement from the contractor.

As per the deal, Mushrif 's role will be to construct a grade separated interchange at a north-south axis along the coastal roads, said a senior official.

"Mushrif has been a long-standing partner to the Ministry of Public Works on several projects over the last four decades and has delivered over 20 road projects since," remarked its chief executive Chris Preece.

"We are proud to be an integral part of Kuwait's ongoing development efforts and it's not only about improving traffic conditions, but playing a lead role in 'building' Kuwait," he stated.

According to Preeece, this is the second road contract to be awarded to Mushrif within the last four months.

"We had outbid nine major international and local contractors with an offer at KD82.8 million ($272 million) for ministry tender for a 40-km road serving new developments in the cities of Sabah Al Ahmad and Mina Abdulla including the Mina Abdulla industrial area, and allow for safe access to and from Al Wafra," he added.

In addition to protecting and relocating utilities in the area, Mushrif will be managing traffic during the construction phase to keep the busy Al Bidda Roundabout operational as per Ministry of Interior (MoI) requirements, revealed Preece.

It will also work closely with MoI to install ducting, cabling and CCTV masts for future traffic surveillance and management, while relocating existing security cameras, he added.-

January 16, 2016

PACIFIC FUTURE ENERGY, which is planning to build the world’s “greenest bitumen-to-fuels refinery” in Canada has announced plans to transport bitumen to the refinery by rail in a near-solid “neatbit” state.

The company initially announced that it would build the C$15bn (US$10bn) refinery on the British Columbian coast back in 2014, and would export refined products, rather than raw bitumen, to Asia. It has now submitted a full formal project description, produced by SNC Lavalin, to Canadian regulators. The refinery will refine bitumen from oilsands in western Canada.

Bitumen is usually transported by pipeline as “dilbit”, a diluted, more fluid version containing about 70% bitumen and 30% diluent, or by rail as “railbit”, which contains around 88% bitumen. Pacific Future Energy, however, believes that transporting neatbit, which is as the name suggests, 100% bitumen, is more environmentally sound.

The company describes neatbit as having “a consistency similar to peanut butter”, which does not flow unless heated. It has very low flammability, is stable, and is classified as non-dangerous for transport. In the rare chance of a train derailment or a crash, the bitumen could not flow anywhere and would be much easier to clean up, minimising environmental damage.

First Nations groups and environmentalists alike have criticised plans for pipelines through pristine landscapes. In addition, Pacific Future Energy has pledged to use TC-117 railcars, a new model specifically designed for oil transport.

Pacific Future Energy has selected an area known as the Dubose Flats in which to build the 200,000 bbl/d refinery. The refinery will be powered by wood waste biomass, from the local forestry industry, and the company claims its net carbon emissions will be near zero.

Exporting refined products will pose less of a risk than raw bitumen to the marine environment in the case of a spill. The refinery is expected to create 3,500 jobs during construction and 1,000 during operation.

“Not only would our proposal provide a value-added way to get Canadian oil to growing world markets, but it would also protect both Canada’s land and marine environments from the effects of a heavy oil or bitumen spill,” said CEO Robert Delamar.

Pacific Future Energy will consult with Canada’s First Nations, the Canadian Environmental Assessment Agency the British Columbia Environmental Assessment Office and the public as it finalises plans for the refinery. The company hopes to begin construction in 2018, with startup scheduled for 2021.

Several other bitumen refining plants are planned on the British Columbia coast, including by Eagle Spirit Energy and newspaper tycoon David Black.

January 4, 2016

Ergon Asphalt & Emulsions, Inc., (Ergon A&E) announced today it has been approved to move forward with construction on a new asphalt terminal in Manor, TX. Construction on the facility, which will span some 27 acres, is set to begin in early 2016 with an anticipated completion preceding the 2017 road construction and paving season.

The Manor terminal will house neat and polymer modified asphalt products used in paving and asphalt emulsion production. The facility’s bulk storage will provide the capabilities to support Ergon A&E’s Texas emulsion plants, in addition to marketing paving and sealing-grade hot products.

The new terminal will be located approximately 15 miles from the Austin city center with prime access to nearby interstate thoroughfares for direct customer sales. The terminal will be served by both inbound rail and truck receipt capabilities.

Upon completion of the new Manor terminal, the facility will bring between 10-15 new jobs to the area including positions in operations, sales & marketing, management and facility maintenance.

About Ergon Asphalt & Emulsions, Inc.

Ergon Asphalt & Emulsions, Inc., is an Ergon company, and the premier asphalt and emulsions marketer in North America. Its manufacturing network encompasses more than 30 asphalt and emulsions facilities located from Coast-to-Coast. The company is an industry-recognized leader for road maintenance education and innovation with quality neat and polymer modified asphalt products and emulsions, in addition to a family of cost-effective pavement preservation solutions engineered to maintain the integrity of transportation networks.

About Ergon, Inc.

Ergon, Inc. is a privately held company based in Jackson, MS, that operates under six primary business segments: Refining & Marketing, Asphalt & Emulsions, Transportation & Terminaling, Oil & Gas, Real Estate, and Corporate & Other.

December 21, 2015

As winter approaches, shops, cities and householders are stocking up on salt, gravel and sand in anticipation of slippery roads. However this annual ritual in colder climates might quickly grow to be pointless. Researchers report in ACS’ journal Industrial & Engineering Chemistry Analysis a brand new street materials that would de-ice itself.

Each winter, when climate forecasters predict snow or icy circumstances, native governments deploy vans that mud roads with salt, or different chemical mixtures to assist forestall ice build-up. Residents escape their very own provide to maintain their walkways and driveways from freezing over and turning into dangerously slick.

However the de-icer does not keep on the streets for lengthy. Melting snow and automobiles driving by wash or pressure it off, making re-application crucial. To interrupt this cycle, Seda Kizilel and colleagues needed to see if they might devise a method to ice-proof the street itself.

The researchers began with the salt potassium formate and mixed it with the polymer styrene-butadiene-styrene. They added this combination to bitumen, a serious element of asphalt.

The ensuing materials was simply as sturdy as unmodified bitumen, and it considerably delayed ice formation in lab research. The brand new composite launched de-icing salt for 2 months within the lab, however the results might final even longer when used on actual roads, the researchers observe.

In that occasion, the salt-polymer composite can be evenly embedded all through the asphalt. Thus, as automobiles and vans drive over and put on away the pavement, the salt might regularly be launched—probably for years.

Summary
Ionic salts as anti-icing brokers have been extensively used to get rid of accumulation of ice on asphalt surfaces. Nevertheless, salt may be simply eliminated by rain or cars and requires frequent software on roads.

Apart from this financial consideration, anti-icing brokers compromise the mechanical properties of asphalt and have a adverse influence on dwelling organisms and the setting when utilized in giant quantities.

Incorporation of hydrophilic salts into bitumen, a hydrophobic asphalt binder, and managed launch of particular molecules from this hydrophobic medium can present an efficient answer for decreasing ice formation on pavements.

Bitumen has beforehand been modified by numerous polymers, together with styrene-butadiene-styrene (SBS) for improved power and thermomechanical properties. Nevertheless, an anti-icing perform was not thought-about in these earlier designs. In a earlier research, we developed a useful polymer composite consisting of potassium formate (HCOOK) salt pockets dissolved in a hydrophilic gel medium and dispersed in a hydrophobic SBS polymer matrix.

Right here, we developed an revolutionary technique to acquire polymer composite-modified bitumen and investigated additional the anti-icing properties of the practical bitumen. We improved incorporation of this polymer composite into bitumen and demonstrated correct distribution of the composite inside bitumen by means of morphological and rheological evaluation.

We characterised the anti-icing properties of modified bitumen surfaces and demonstrated vital will increase in freezing delay of composite-modified bitumen in comparison with base bitumen in a temperature- and humidity-controlled chamber. As well as, we characterised the discharge of HCOOK salt from polymer composite-modified bitumen and noticed salt launch inside the vary of 1.07–10.eight% (w/w) in 67 days, relying on the composite content material. The outcomes show the potential of this polymer composite-modified bitumen for anti-icing performance and for industrially related purposes.

December 15, 2015

A new study states that diluted bitumen, a raw material used as a feedstock in oil refineries, turns into a “heavy, viscous, particle-laden residue” after days of exposure, say, in ocean water after an incident like the Refugio Oil Spill.

That’s not unlike the type of oil found on the beach and in the water by the people who attempted to restore the shore this past May.

The heavy crude that befouled Refugio may not literally be diluted bitumen, explained UCSB geochemist David Valentine, but it has characteristics that are more like diluted bitumen than the lighter oils to which current spill response is tailored.

For instance, heavy crude tends to sink instead of float on the surface, and it is very sticky. Valentine is among the authors of the paper and also a scientist researching the aftermath of Refugio, which gave a first-hand case study of spill response.

The environmental risks of crude oil transport have been recognized since Santa Barbara’s blowout in 1969, the study says, and the 2010 bitumen spill into Michigan’s Kalamazoo River, among others, caused the Department of Transportation (DOT) to ask scientists if the potential environmental consequences of a bitumen spill were significantly different from a spill of “light” or “medium” crude.

Often extracted from tar sands, bitumen is too viscous to flow readily through pipelines, and oil producers commonly dilute it with lighter oils or condensed natural gas for pipeline transport. The study, titled “Spills of Diluted Bitumen from Pipelines:

A Comparative Study of Environmental Fate, Effects, and Response,” explains that “weathering” causes rapid physical and chemical changes to diluted bitumen after a spill, making it stickier and more dense than water.

The heavy crude from Canadian tar sands is commonly diluted, and the study lays out the Keystone pipeline proposal to move crude from Canada and other existing and proposed pipelines around the nation. (Though the study states the majority of California’s crude is moved through heated pipes, in Santa Barbara County, the main transport pipelines are insulated, not heated, and carry oil that has been heated and blended with natural gas liquids, according to the county’s Energy Division.)

The report, prepared for the DOT and published by the National Academies of Sciences, Engineering, and Medicine, also states its findings translate to transport such as truck and rail.

“Although many differences between diluted bitumen and other crude oils are well established, some remaining areas of uncertainty hamper effective responses to spills,” said Valentine, a professor of microbial geochemistry in the Department of Earth Science, in a UCSB press release.

“Further research is needed in a range of areas, including the ecological and human health risks posed by weathered diluted bitumen, techniques to capture submerged oil in moving water, and the application of advanced chemical approaches to understand the compositional changes to diluted bitumen in the environment.”

Given the new information about diluted bitumen, the report makes recommendations that the Coast Guard reclassify the substance as a nonfloating oil and that the National Oceanic and Atmospheric Administration (NOAA) create a database to predict possible locations of future bitumen spills.

It further advises the Pipeline and Hazardous Materials Safety Administration (PHMSA), which is a branch of the DOT, to modify transport rules to recognize the special hazards presented by diluted bitumen.

November 27, 2015

Leader of the Opposition V.S. Achuthanandan visiting a bitumin-mixing plant atKumbanad-Kadapra, near Kozhencherry, on Thursday

Photo: Leju Kamal

Residents of Kumbanad-Kadapra allege that the plant is causing breathing problems for people

The problems faced by the common man due to a bitumen-mixing plant located in a thickly populated area adjoining a Scheduled Caste colony at Kumbanad-Kadapra, near Kozhenchery, will be raised in the Assembly, Leader of the Opposition V.S. Achuthanandan has said.

Mr. Achuthanandan, accompanied by Village Action Council workers, was talking to reporters after visiting the plant on Thursday.

The Village Action Council has been waging an agitation demanding the shifting of the plant from the thickly populated area for the past three years.

Mr. Achuthanandan said the controversial plant should be relocated to an uninhibited area, if the custodians failed to operate it without causing problems to the villagers.

He first visited the Chellathuparambil colony and interacted with the affected families there.

Panchayat ward member Jessie Sajan said the villagers had been put to much difficulty due to the noxious fumes emitted from the plant.

She said one person was killed due to asphyxia caused by the fumes from the bitumen-mixing plant in March and many others were hospitalised.

Though the villagers under the aegis of the action council staged satyagraha before the Koipram panchayat office for 48 days, the local body had given clearance to the plant, disregarding their protests, Ms. Sajan said.

Ms. Sajan has been elected as an Independent member representing the action council in the just-concluded local body elections, defeating both the UDF and the LDF candidates.

Ammini Mathew, Winnie Mathews, and Sanoop Rajan, villagers, told Mr. Achuthanandan that the plant had been causing breathing difficulties and allergy problems to the people in the locality.

Steps sought

Mr. Achuthanandan also interacted with the owner of the plant, Prasad, and asked him to take immediate steps to address the problems faced by the local residents.

K. Ananthagopan, CPI(M) State committee member; R. Sanalkumar, district secretariat member; and Joseph Mathews, IT advisor to the Opposition Leader; were also present.

November 25, 2015

With the target of making over 90 percent of Indian roads bituminous, the central government has allocated more than 10 percent of its total expenditure on roads development testifying to the high priority being accorded the sector, Petroleum Minister Dharmendra Pradhan said on Monday.

"Over 90 percent roads in India have to be bituminous. The current government has kept the development of roads at a high priority by allocating more than 10 percent of the total spending for the same," Pradhan said here inaugurating the two-day Asian Bitumen Conference being held for the first time in India.

"The current government has kept the development of roads at a high priority by allocating more than 10 percent of the total spending for the same," he said.

"I'm happy to note that bitumen products are being introduced at all the refineries in the country for the better performance of roads in India," he added.

Noting that with a road infrastructure of 3.3 million km, India has the second largest road network in the world after America, Pradhan said: "Bitumen becomes an important parameter in planning and execution of road construction projects in India."

"Owing to the diverse climatic conditions, it requires better understanding of bitumen supply and demand in the country."

According to the minister, total bitumen sales in India in 2014-2015 amounted to 4.8 million tonnes.

Experts from as many as 20 countries from Asia have come together to discuss challenges and opportunities emerging in the bitumen market in Asia, the conference organisers Asian Bitumen said.

"India's bitumen utilisation will outpace production in the coming years as demand is expected to accelerate," the organisers said in a statement.

According to the organisers, currently 90 percent of India's bitumen requirement is met by local oil companies, while the balance is imported. India also exports during the monsoon season from the east coast.

"Factors such as a shift in demand towards value added bitumen products, preference being given to cement over bitumen in road construction in countries like India, and additional usages emerging for the crude by-product have dramatically affected the outlook of the bitumen market in Asia," the statement said.

Global bitumen demand is expected to reach 122 million tonnes in 2018.

November 21, 2015

U.S. President Barack Obama says it's "not contradictory" for Canada to continue extracting bitumen from Alberta's oilsands while also working as a global partner in transitioning away from fossil fuels.

"My view has been that we have to transition," Obama said during a joint press conference with Prime Minister Justin Trudeau at the Asia-Pacific Economic Cooperation (APEC) Summit in Manila.

"That transition does not happen overnight."

"Both of us are large oil and gas producers and that's an important part of our economy," Obama continued.

"We make no apologies for that but I also think that we have to recognize that if we want to preserve this planet for our kids and our grandkids, then we're going to have to shift increasingly away from carbon-emitting energy sources."

Trudeau, for his part, said Canada had earned an international reputation for not taking climate change seriously and that's something he intends to change.

"We understand as a government that there is no longer a choice to be made between what's good for the environment or what's good for the economy," Trudeau said. "They go together in the 21st century."

The prime minister said one of his "first tasks" on the issue will be to "reassure Canadians and others that we are serious about meeting reduction targets, about being positive actors on the world stage in the fight against climate change, and demonstrating a future in renewables and smart investments around energy."

Low oil prices 'an opportunity'

The U.S. president also acknowledged the economic woes Alberta is currently facing and noted the reality of oil production and the move toward alternative energy sources will be "dictated by market prices."

"Right now in Alberta, a lot of the issues with respect to how to extract oil does have to do with the fact that oil prices are low and they're going to be low, I suspect, for a while," Obama said. "That actually presents both our countries an opportunity."

Now is the time for energy companies to look seriously at diversifying their business models, the president said, and for consumers to use any savings in their fuel bills to invest in things like solar panels for their homes.

"This is going to be a messy, bumpy process worldwide," Obama said.

"But I am confident that we can get it done and the fact that we now have a very strong partner in Canada to help set up some global rules around how we approach this will be extraordinarily helpful."

November 20, 2015

The Matola terminals Global mid- and downstream energy company Puma Energy officially opened new bitumen and fuel terminals in Mozambique this week, raising its capacity in the Southern African country to 275 500 m³.

The Matola terminals comprise 11 steel storage tanks, which have collectively added 115 000 m³ of storage capacity. The bitumen terminal has been designed to reduce Mozambique’s dependence on imports, while the fuel terminal creates a new fuel-supply channel for the Southern African Development Community.

COO Christophe Zyde described the Mozambican storage facilities as “state-of-the-art” and said the infrastructure would act as a catalyst for economic growth in the country.

Puma Energy, which is associated with the Trafigura Group, is active in over 45 countries globally and recently set up a regional hub in Johannesburg, South Africa, where it is also in the process of building storage capacity.

Some independent teapot refiners in China's eastern Shandong province will be ramping up crude oil imports over the next month in a bid to utilize their import quotas before the end of the year, trade sources said this week.

This is despite a slowdown in domestic gasoline and gasoil sales, which dampened teapot refiners' demand for imported crude, petroleum bitumen blend and straight-run fuel oil over this week, as they continue to grapple with rising oil product stocks, according to sources.

No new crude cargoes have arrived at Shandong ports this week, after a string of deliveries last week.

But given a few refineries have only utilized just a small portion of their annual import quotas, the Shandong provincial government has required Lihuayi Petrochemical -- better known as Lijin -- Yatong Petrochemical and Kenli Petrochemical, to import a total 880,000 mt of crude before the end of this year.

Lijin will need to import 200,000 mt next month in order to meet its target.

The refiner, which has a crude import quota of 3.5 million mt/year, received two cargoes totaling 200,000 mt last week and will be returning from an ongoing full turnaround at the end of November.

Yatong will need to import around 600,000 mt of crude before the end of the year.

The refiner last week has received one 50,000-mt cargo of Russian Sokol crude, after taking delivery of its first import cargo of 60,000 mt in October. Yatong has a crude import quota of 2.76 million mt/year.

Kenli Petrochemical will have to import 80,000 mt of crude by the end of this year, according to sources.

The refiner, which has a quota of 2.52 million mt/year, has so far received a total of about 200,000 mt of Russian ESPO blend crude.

Meanwhile, some Omani crude, as well as Brazilian grades, were offered into the spot market on a FOB Qingdao basis, sources said.

With teapot refiners importing crude, the supply of imported crude in the Shandong market has also become abundant.

Some of the teapot refiners unable to fully use up their import crude supply in their own systems were said to be selling part of their cargoes to other teapot refiners which have not been granted import quotas yet.

Shandong's teapot refineries are able to crack crude and fuel oil, but they have been using less imported fuel oil since November 2014 because of relatively high procurement costs.

After the government granted teapot refineries access to imported crude oil, crude has been the top feedstock choice, while bitumen blend is still considered favorable for those that have no access to both domestic and imported crude.

Imports of petroleum bitumen blend by Shandong teapot refineries have been slow in recent weeks, mainly due to uncertainties over tax issues.

There was talk in the market that the government may levy a consumption tax on bitumen blend, as it has a similar quality to fuel oil. And should this happen, there will probably be fewer buyers for bitumen blend, which is used as feedstock for coking units.

Since the government typically reviews and revises all import and export items at the end of the year, trade sources said they would rather wait for a clear directive before resuming imports.

No new bitumen blend cargoes have arrived for Shandong teapot refineries this week.

Yuhuang Petrochemical and Hengyuan Petrochemical early this month have each taken delivery of a 100,000-mt cargo of bitumen blend at Rizhao and Tianjin. Another two similar cargoes are scheduled to arrive late this month, sources said.

This compares with an estimate 530,000 mt of bitumen blend imports, in five cargoes, into Shandong ports in October, which was lower than September's imports of 1.1 million mt in 12 cargoes.

The steep fall in bitumen blend imports was attributed to more teapot refineries being allowed to import crude, freeing up domestic crude supply to other refiners and displacing the share of bitumen blend in refiners' feedstock mix as a result.

Premiums of November-delivery common grade bitumen blend cargoes were heard at around $20-$25/mt to the Mean of Platts Singapore 380 CST high sulfur fuel oil assessments on a CFR basis.

Common grade bitumen blend has a density of 0.98-0.99 kg/l, sulfur content of 2%-3% and carbon residue of 12%-14%.

Teapot refineries in Shandong -- China's main buyers of imported straight-run fuel oil before November 2014 -- have largely switched to comparatively cheaper bitumen blend that does not incur consumption tax and import tariffs.

ONE RUSSIAN M100 FUEL OIL CARGO ARRIVED FOR TEAPOT

On Russian M100 fuel oil, one 30,000-mt cargo is due to arrive Friday at Rizhao port in Shandong.

The cargo will be taken by Xinhai Petrochemical in Jiangsu province, a subsidiary of Shandong's biggest teapot refiner Dongming Petrochemical. Western trader Mercuria was said to have moved M100 fuel oil cargoes into Shandong this month, though details on the number of cargoes and buyers were not known.

M100 fuel oil cargoes for delivery in early December were heard talked at premiums of around $45/mt to MOPS 180 CST fuel oil assessments on a CFR basis, stable from those delivered in early November.

Meanwhile, despite current thin demand for M100 fuel oil from teapot refineries and petrochemical plants, some Chinese companies are now expected likely to participate in Russian state-owned Rosneft's term tender for 2016.

The tender, offering up to 3.5 million mt of M100 fuel oil for loading over January to December 2016 from Nakhodka or Slavyanka, closes on November 19, and bids will remain valid until December 11.

Rosneft currently has a term contract of up to 2.8 million mt of M100 for loading over January-December 2015 from Nakhodka or Vanino with Mercuria, at a term premium of around $85-$88/mt to MOPS 180 CST HSFO assessment on a FOB basis.

November 19, 2015

Bowman Centre lauded as 'Resource Champion'

The Sarnia Lambton Chamber of Commerce has presented a Resource Champion award to the Bowman Centre. Pictured, from left, are Don Wood (of the Bowman Centre); Rob Taylor, chair of the Sarnia Lambton Chamber of Commerce; Katherine Albion, director of the Bowman Centre; and Walter Petryschuk, a Bowman Centre associate.

A group of individuals who continue to advocate for what could, if they are successful, be one of Sarnia-Lambton’s largest commercial projects in decades has been recognized by the Sarnia Lambton Chamber of Commerce.

The Bowman Centre, which is based at the Western Research Park Sarnia-Lambton, was singled out for the award at a ceremony last Friday.

“This group has dedicated an enormous amount of time and considerable expertise to create prosperity in Sarnia-Lambton,” said Rob Taylor, chair of the Sarnia Lambton Chamber of Commerce, referring to several individuals who were in attendance.

Those included Walter Petryschuk, an associate who has spent much of his career in Chemical Valley (he was once plant manager at the former Polysar complex); Don Wood, also an associate; and Katherine Albion, who is director of the Bowman Centre.

One of the major initiatives at the Bowman Centre is a proposed Sarnia-Lambton Advanced Bitumen Energy Refinery—SABER—an initiative that came from a conference held in Sarnia in 2013.

A precipitous fall in oil prices since then has clearly presented a challenge, although it has also sparked a degree of flexibility.

One example of that, says Wood, is reducing the initial scale of the proposed project, along with the inclusion of bio-feedstocks and even the product mix being proposed for SABER.

The core idea behind the project remains consistent, says Petryschuk.

“The fact is, we’re losing billions of dollars in potential added value by not refining bitumen in Canada,” he says. “that, to me, is almost criminal.”

The SABER project hasn’t altered the Bowman Centre’s vision and the existing pipeline infrastructure is sufficient to make the project viable.

Petryschuk also credited the support of the community and various volunteers with the Bowman Centre for their contributions. “Without them, we just wouldn’t get this job done,” he says.

November 2, 2015

Mercury levels around the Alberta oilsands are 16 times higher than background loads, with contamination taking on the shape of a 'bull's-eye' over the region, say Environment Canada scientists.

Speaking at the Society of Environmental Toxicology and Chemistry conference in Nashville, Environment Canada researchers Jane Kirk and Derek Muir said mercury levels are at their highest concentration in the immediate area of oilsands operations but extend out to cover a 19,000-square-kilometre area, Postmedia reports.

“Here we have a direct source of methyl mercury being emitted in this region and deposited to the landscapes and water bodies,” Kirk told Postmedia.

“So come snowmelt that methyl mercury is now going to enter lakes and rivers where potentially it could be taken up directly by organisms and then bioaccumulated and biomagnified though food webs.”

Kirk did quantify her findings by pointing out the fact mercury loadings around the oilsands region are still lower than in heavy coal-consuming areas of North America, such as southern Ontario and Quebec.

Kirk's findings come on the heels of a study released in October that found rising traces of mercury in bird eggs downstream from the oilsands.

The study, which was conducted by the Joint Oil Sands Monitoring (JOSM) program, a federal-provincial initiative, is the third peer-reviewed study since 2010 to show mercury levels increasing in the ecosystem in the region, the Globe and Mail reported.

Scientists have expressed concerns over the levels of mercury in the area due to the fact the element accumulates as it moves its way up the food chain.

Concerns over resource extraction in the Mackenzie River basin was such that the Canadian Medical Association recently called for a medical investigation into the health risks and effects that some allege are associated with the industry.

A University of Calgary health study is also expected to be carried out in the near future to encompass the Athabasca Chipewyan First Nation, the Nunee Health Authority and the Fort McKay Metis community.

Kirk's study, which is expected to be published early this year, highlights what is becoming a hostile business environment for the province's oil industry.

Pipeline projects, which are critical if Alberta oil players are to remain viable, remain under threat of environmental and health pressures in the U.S., in neighbouring B.C. and, to a lesser degree, in Ontario and Quebec.

A thriving oilsands sector is also in the best interest of the Alberta government, which has closely tied its fortunes to the windfall of revenue created by the energy industry in the province.

When the Alberta government found itself unable to balance its budget in 2013, it blamed it on low revenues from the energy sector due to low prices paid for oilsands bitumen and limited pipeline infrastructure.

But teapot refineries that have recently been granted both import quotas and import licenses for crude oil continued to take in crude cargoes, particularly largest Shandong teapot refiner Dongming Petrochemical.

The 7.5 million mt/year (150,000 b/d) Dongming has received a 240,000-mt cargo shipped from the Gulf of Mexico at Rizhao port early this week, adding to imports of 350,000 mt earlier this month. The latest shipment brings the total volume of crude imported under its import quota of 6 million mt/year to 2.84 million mt.

Adding on to the volume received by four other Shandong teapot refineries with import quotas, teapot refineries have imported a total of around 3.74 million mt of crude since end-July, when Dongming took its first cargo.

For November, the 3.5 million mt/year Yatong Petrochemical is taking in a crude cargo much larger -- possibly a VLCC -- than its first import cargo comprising 60,000 mt of Indonesian Duri crude in mid-October, said a source from the refinery. But details, including the crude grade, of its planned November import could not be ascertained.

Meanwhile, the 3.5 million mt/year Lijin Petrochemical, which is scheduled to restart from an ongoing full turnaround in early November, has not fixed any imported crude cargoes for the coming month so far.

Shandong's teapot refineries are able to crack crude and fuel oil, but they have been using less imported fuel oil since November 2014 because of relatively high procurement costs.

After the government granted teapot refineries access to imported crude, crude has been the top feedstock choice, while bitumen blend is still considered favorable for those that have no access to both domestic and imported crude.

THREE BITUMEN BLEND CARGOES HEARD FIXED FOR NOV SO FAR

Demand for petroleum bitumen blend among Shandong teapot refiners remained thin over the week, with around three cargoes heard so far fixed for November delivery.

This compares with an estimate 530,000 mt of bitumen blend imports, in five cargoes, into Shandong ports in October.

The latest arrival is a 97,000-mt cargo from Malaysia into Rizhao port this week, taken by the 3 million mt/year Yuhuang Petrochemical. The supplier was heard to have resold the cargo to Yuhuang -- which earlier had no plans to buy bitumen blend for October -- after the original buyer decided not to take the cargo.

Still, overall estimated bitumen blend imports in October were lower than September's imports of 1.1 million mt in 12 cargoes.

The fall in bitumen blend imports was attributed to more teapot refineries being allowed to import crude, freeing up domestic crude supply to other refiners and displacing the share of bitumen blend in refiners' feedstock mix as a result.

Adding to this, Shandong customs officials have been scrutinizing imports of bitumen blend more closely since end-September in a bid to identify misrepresented fuel oil cargoes. This has led some teapot refineries to suspend their import activities for the time being.

Premiums of November-delivery common grade bitumen blend cargoes are now heard lower, at around $20-$25/mt to the Mean of Platts Singapore 380 CST high sulfur fuel oil assessments on a CFR basis, from MOPS 380 CST HSFO assessments plus $27-$30/mt, CFR, last heard for October cargoes.

Common grade bitumen blend has a density of 0.98-0.99 kg/l, sulfur content of 2%-3% and carbon residue of 12%-14%.

And in the domestic spot market, bitumen blend prices were heard to have fallen to around Yuan 2,200/mt this week, from Yuan 2,300/mt last week, due to weak buying interest from teapot refiners.

Teapot refineries in Shandong -- China's main buyers of imported straight-run fuel oil before November 2014 -- have largely switched to comparatively cheaper bitumen blend that does not incur consumption tax and import tariffs.

ONE M100 FUEL OIL CARGO FIXED FOR NOVEMBER, POSSIBLY TO SHANDONG

On Russian M100 fuel oil, western trader Mercuria was understood to have chartered the Cap Laurent to load 100,000 mt of M100 fuel oil from Russia's Kozmino this week to northern China, possible to Shandong.

And on Thursday, a 90,000-mt combination cargo of M100 and straight-run fuel oil had arrived at Longkou port. Regular M100 importer Hengyuan Petrochemical was heard as the buyer.

M100 fuel oil cargoes for early November delivery were heard talked at premiums of around $50/mt to MOPS 180 CST fuel oil assessments on a CFR basis, steady from last levels heard for October, but down from premiums of $55/mt for September.

Meanwhile, eyes are on Russian state-owned Rosneft's upcoming M100 term supply for loading over January-December 2016.

Rosneft currently has a term contract for 2.8 million mt of M100 for loading over January-December 2015 from Nakhodka or Vanino with Mercuria, at a term premium of around $85-$88/mt to MOPS 180 CST HSFO assessment on a FOB basis.

Bitumen is primarily used as a binder in road construction along with other applications such as electronics, waterproofing for roofing, and in adhesives due to its resistance to water, insulation properties and high durability.

The properties of bitumen can be altered by adding polymers to it, thereby increasing its application scope. Bitumen is known as “asphalt” or “asphalt cement” in North America.

However, “asphalt” is a term used for a mixture of sand, small stones and other filler materials in the rest of the world. This mixture contains about 5% of bitumen. The mixture is known as “asphalt concrete” or more particularly “blacktop” in North America.

Bitumen is available in a number of grades based upon the standard mentioned by certain tests such as penetration test. Bitumen 80/100, bitumen 60/70 and bitumen 40/50 are the most commonly used bitumen, where the numerical values represent hardness of bitumen.

Similarly, VG-10, VG-20, VG-30 and VG-40 are the viscosity grades of bitumen. Thus, different grades of bitumen are often represented as bitumen 80/100/VG-10.

Infrastructure activities to improve road networks in developed and developing nations are expected to drive the growth of the bitumen market. Furthermore, increasing applications of polymer modified bitumen (PMB) as chemical additives and adhesives in household and road construction are anticipated to boost the demand for bitumen. Additionally, rising construction activities for industries, commercial buildings and housing are estimated to drive the demand for bitumen over the next six years. However, environmental issues associated with the extraction of bitumen from oil sands are projected to hamper market growth. Increasing substitution of bitumen by concrete is also likely to adversely affect the bitumen market. However, development of bio-based bitumen or bio-bitumen and its commercialization over the next few years is expected to offer opportunities for the bitumen market. Furthermore, development of bio-bitumen is anticipated to ease the production pressure on the depleting fossil fuel reserves.

Paving grade bitumen, which is used in roadway application as a binder for asphalt, was the largest consumed type of bitumen in 2013. It accounted for over 65% of the market share in 2013.

Polymer modified bitumen (PMB) is expected to be the fastest growing segment of the market due to its increasing demand in road construction and roofing applications. Polymer modified bitumen is increasingly used in construction of roadways and waterproofing applications as it offers various advantages such as heating at lower temperatures, ability to increase porosity of roads and enhancement of performance of the applications.

With over 80% share in 2013, road construction was the largest application segment for bitumen due to its high viscosity and stickiness.

Other applications of bitumen include its usage in roofing industry, paints and enamels, adhesives, automotives and decorative applications, and as an insulator in electrical and electronics industry.

Focus of national governments of China and India on improving road network and the consequent inclusion of the same in the five-year plans is anticipated to fuel growth of bitumen in Asia Pacific over the next six years.

However, waterproofing is expected to be the fastest growing application of bitumen during the forecast period, due to growth in infrastructure activities in developing countries such as China and India.

North America was the largest consumer of bitumen in 2013 due to the significant network of roads in the U.S. The region accounted for over 30% of the market in 2013.

Redevelopment and repair of existent roads accounts for the primary consumption of bitumen in this region. This is in contrast to emerging economies where the consumption is driven by development of new infrastructure.

However, Asia Pacific (including China) is expected to be the fastest growing market for bitumen during the forecast period due to rapid industrialization in the region. This is expected to drive infrastructure development in the next few years.

The bitumen market is highly fragmented, with the top eight companies accounting for approximately 39% of the total market share in 2013. Leading bitumen manufacturing companies include Shell Bitumen, NuStar Energy, ExxonMobil, Marathon Oil Company and Valero Energy Corporation.

October 20, 2015

(GLOBE NEWSWIRE) -- Epcylon Technologies, Inc. (OTC PINK:PRFC) ("Epcylon" or the "Company") announces that it has entered into a Memorandum of Understanding (MOU) with Bitumen Capital Inc. (TSXV: BTM.H) ("Bitumen") whereby Bitumen and Epcylon will enter into an Asset Purchase Agreement (as defined hereunder) (the "Transaction") which will constitute Bitumen's qualifying transaction (the "Qualifying Transaction"), as per Policy 2.4 of the TSX Venture Exchange (the "Exchange" or "TSXV").

Pursuant to the terms of the MOU, subject to execution of a definitive asset purchase agreement ("Asset Purchase Agreement") and receipt of applicable regulatory and Exchange approvals, Bitumen will issue to Epcylon's shareholders 182,202,994 common shares of the CPC in exchange for all the assets of the Company, as further agreed upon by the Parties. The MOU is intended to be binding upon the Parties until execution of the definitive Asset Purchase Agreement.

There are currently 13,150,001 common shares of the CPC issued and outstanding and 1,315,000 allotted stock options entitling the holders, certain officers and directors of Bitumen to acquire common shares of the CPC (the "Stock Option(s)"). Each Stock Option entitles its holder to acquire a common share of the CPC at a price of $0.10 per common share at any time up to October 17, 2017. Upon completion of the Transaction, all of the 1,315,000 issued and outstanding Stock Options to officers and directors of Bitumen shall be cancelled.

Prior to closing of the Transaction, Bitumen will complete a reverse split of its common shares consisting in one (1) old share for 0.538 new shares, resulting in an aggregate number of 7,000,000 issued and outstanding common shares of Bitumen.

Current shareholders of Bitumen will hold approximately 3.7 per cent and current holders of the Company will hold approximately 96.3 per cent of the resulting issuer's common shares issued and outstanding before giving effect to the Private Placement described below.

The Transaction is not a "Non-Arm's Length Transaction" under the Exchange's policies.

Concurrently with the Qualifying Transaction, the parties intend to complete a non brokered private placement for total proceeds of USD$1,000,000 consisting of secured convertible debentures with a three (3) year term and yielding at 8 per cent at a price of US$0.20 per secured convertible debenture and one half share purchase warrant, each whole share purchase warrant entitling its holder to purchase one common share of the Resulting Issuer at a price of USD$0.30 per common share within 24 months from the date of the issuance of the warrant (the "Private Placement").

Closing and final acceptance of the Transaction are subject to the satisfaction of certain conditions, including the completion of a satisfactory due diligence, the execution of the Asset Purchase Agreement, obtaining required approval by shareholders, if applicable, third party and regulatory authorities and completion of the Private Placement. There are no guarantees that the Qualifying Transaction will be completed as proposed or at all.

- See more at: http://globenewswire.com/news-release/2015/10/19/777358/10152877/en/Epcylon-Technologies-Inc-Enters-Into-MOU-With-Bitumen-Capital.html#sthash.dPRf10Fj.dpuf

October 8, 2015

Iriele is a small community situated in Ondo State and the indigenes have high demands for development. Over the years, they have dreamt of the day when bitumen would be exploited, creating job opportunities, infrastructure and economic prosperity. The people of this town consider bitumen as a God endowed heritage which should be harnessed immediately to create jobs, deliver infrastructure and reduce the hardship they face daily. Those dreams have not become reality up till now, denting their hopes and leaving them frustrated as the indigenes of these towns wait endlessly for the government to attract the needed investment.

In the light of the foregoing, is the wider debate about Nigeria’s rich mineral reserve and the failure of the government to properly utilise the wealth of the nation to the betterment of lives of the citizenry. This belief is voiced by majority of the ordinary people in this bitumen bearing community including border communities like Agbabu and Ilubirin.

Nigeria is the sixth largest bitumen deposit in the world with most of the reserve found in Ondo State. However, there’s a wider debate about Nigeria’s rich mineral reserves and the failure of the government to properly utilize the wealth of the nation to the betterment of lives of the citizenry.

This belief is voiced by majority of the ordinary people in this bitumen bearing community including border communities like Agbabu and lIubirin. They have argued that since Nigeria’s crude might no longer generate sufficient revenue to run the nation’s economy, there should be an alternative to fall back on. In the perspective of these pro-bitumen agitators, bitumen is a guaranteed option as Nigeria re-defines its roadmap to economic recovery.

A lawmaker representing the Irele-Agbabu State Constituency in Ondo State House of Assembly, and one of the key proponents of bitumen Honourable Afolabi Iwalewa, thinks that the wobbly situation of Nigeria’s oil is a wakeup call for the exploitation of bitumen:

“ Any moment from now, crude oil will fade off. Look at what is happening now with the talk of oil theft. Every state is crying now, even the Federal Government is crying that it is not getting what it used to get from oil. What is the Federal Government doing, and why can’t we find another alternative? If crude oil is not going to fetch us what we project (in terms of revenue), why can’t we switch over to bitumen?”

Another standpoint of Honourable Iwalewa’s pro-bitumen advocacy is that the non-exploitation of the resource is causing people in these communities a lot of trouble because they have to cope with the reality of spill ravaging precious farmlands where bitumen is found so close to the surface that a simple shovel can excavate the glossy black substance.

Bitumen is found in tar sands, which is also a combination of clay, sand and water. A heavy black viscous substance, oil-rich bitumen is extracted from tar sands, which is then refined into oil. The bitumen in tar sands cannot be pumped from the ground in its natural state; instead tar sand deposits are mined, usually using strip mining or open pit techniques, or the oil is extracted by underground heating with additional upgrading.

In essence, it involves a complex process that will certainly disrupt their lives and livelihoods beyond what they can imagine. This is what the people of the bitumen bearing communities in Ondo State are calling for when they appeal for the exploitation of the resource in their soil.

Taking a closer look at the experience of Canada, the biggest producer of tar sands globally, shows that exploitation has actually resulted in serious damage to the local communities and the environment. The clearing of vast area which is a component of the mining process is responsible for the Canadian moon-landscape we see in Alberta, Canada, where large forest with pristine trees that sprawled across its landscape now looks more like a waste land ravaged by the exploration of bitumen.

In spite of all of the warnings pointing at the dangers of venturing into tar sands exploitation, especially the apparent impacts of livelihoods of ordinary people due to the far reaching implications for the environment, including the lands and water bodies, the people in the bitumen bearing communities have inclined to brush these opinions aside.

Olofun of lrele, Oba Olarenwajulebi, the octogenarian traditional ruler of the Irele community, for instance, criticizes talk of possible environmental hazards if bitumen were to be extracted in the area. He brags about of what his realm would look like if development were to prevail, using bitumen as the tool.

“If development were to succeed the way the people of this area want it, this town would have looked like Lagos. I say so because bitumen will provide a lot of employment for all the youths in this area, not in Irele alone, but all over the Southern senatorial district and even in the whole of Ondo State. The bitumen deposit here is a very huge one. It is the second largest in the world, according to the survey conducted by some experts,” he enthused.And on the Canadian experience he explained: “In Canada, they do it in Calgary, and I have been there. They don’t drive away communities, and they replenish the soil. Where they mine the bitumen, they mix the soil with some chemicals, and restore it for the farmers to go back there and farm. And when those people were working here, I talked to them and they told me that even if they have to relocate some communities, they will have to build some fine buildings for them, and that the exploitation won’t affect much of their lands. It is something that they will dig from the ground; and it won’t affect us adversely.”

There’s no doubt that the allure of jobs, development and the improvement they envisage that bitumen development would give to their communities has strengthened their resolve to continue campaigning for the exploration of their God-given wealth. Any attempt to make the pro-bitumen agitators to consider the consequences is usually met with cold shoulders.

However, a geologist at the Federal University of Technology, Akure, Ondo State, Professor Peter Odeyemi offered a much more balanced picture of the realities on the ground. Odeyemi, who was a member of the defunct Federal Government’s Bitumen Implementation Committee (BIC) made a poignant observation when he noted that the mere presence of a resource does not necessarily translate into commercially viable deposits.

“The first thing is that how much is there? We don’t know! We need to carry out further work in that area in the first instance. Secondly, exploration can be carried out by an oil company because bitumen is a hydro-carbon but also there are difficulties (technical difficulties). If an oil company is going to carry out an exploration there, there is an interest, financial one. This company will calculate how much it’s going to get. It will also look at certain technical issues and the ease of exploitation. This is so because although both of them are hydro-carbon, one is easier to exploit than the other.

Also,how will you exploit without exposing the soil to direct rain fall impact, denudation, erosion and degradation. So they have generation of enlightened professors and everything. The place is highly enlightened and the environmental issues are potent here like in Europe. If you look at the Niger Delta, the people just welcomed oil companies with open hands not knowing that oil companies are devils. They are only interested in profits. They are not in any way interested in environmental sustainability, in flora, in fauna and even in the development of the people,” he said.

He continued: “Our problem is not bitumen; our problem is corruption. What do we do with the money we have been getting from oil? The one we are exploiting, what are we doing with it? The people are getting poorer; there is no electricity, water, healthcare, and education. This is despite the fact that we are making trillions of dollars. So, if we now exploit bitumen and add another trillion, we are just going to multiply the corruption,” Odeyemi concluded.

There is no doubt that the exploration of bitumen will have a heavy toll on the environment of Iriele, and neighboring Agbabu and IIlubirin Communities in Ondo State. Water will be polluted, farmlands destroyed, large expanse of forest will be brought down and communities destroyed. Is this kind if cost these communities are willing to pay or are their alternative development paths that communities can take that will have more sustainable economic impact? As the federal government plans to diversify the economy, and explore mining of solid minerals as an alternative, there’s no gainsaying that the environment must be protected even as the nation seeks improved economic fortune.